News & market updates

SL–China Business Council reaffirmed commitment to strengthen bilateral economic cooperation; bilateral trade reached US$5.365 billion, a 30.4% YoY increase. Fifteen cooperation agreements were signed covering infrastructure, green energy and tourism, with China cited as Sri Lanka's largest FDI source supporting projects like Colombo Port City and the Southern Expressway.

Senior Economic Advisor to the President Duminda Hulangamuwa will keynote the Planters' Association of Ceylon's 171st AGM on 29 Aug. The meeting will gather regional plantation companies to review performance and discuss government policy direction, crop diversification, replanting, certifications and renewable energy investments.

Duminda Hulangamuwa, Senior Economic Adviser to the President, will deliver the keynote at the Planters' Association 171st AGM on 29 August. The meeting will review plantation-sector performance and discuss government policy direction, diversification into high-value crops, replanting, certifications and renewable energy investments.

Corporate Capital Market Ltd hosted a webinar on using debentures as a long-term wealth strategy, noting deposit rates averaged ~8% vs inflation ~9% and explaining that listed debentures (typically Rs.100 units) can yield higher effective returns via coupon reinvestment and secondary trading.

Sri Lanka's Electricity (Amendment) Act No. 14 of 2025 took effect, enabling unbundling of the Ceylon Electricity Board and private participation across generation, transmission and distribution while promoting renewable energy. The law replaces the 2024 Act and follows Supreme Court rulings requiring amendments to several clauses, including anti-corruption liability and employee transfer provisions.

Sri Lanka is awaiting completion of an international tender for a 160MW/640MWh battery energy storage system to establish market prices, Energy Minister Kumara Jayakody said. The Ceylon Electricity Board currently offers a calculated feed-in tariff of 45.80 rupees and will review battery pricing next year amid import duty and VAT cost concerns.

Sri Lanka's renewable power share rose to 64.4% in May 2025, with 986 GWh of 1,531 GWh generated from renewables (up from 48.3% a year earlier). Growth was driven by higher hydro (CEB 575 GWh) and private rooftop solar, prompting grid upgrades to accommodate more renewables.

DFCC Bank celebrated its 70th anniversary, reaffirming support for MSMEs and securing $12 million from Symbiotics to promote renewable energy adoption among small businesses. It highlighted programmes like DFCC Vyapara Hamuwa and Krushibala and partnerships with USAID and the US DFC.

LAUGFS Holdings marks its 30th anniversary, highlighting its evolution from an LPG importer into a diversified conglomerate. The group outlines operations across energy (LPG terminals, maritime, renewable power), retail, manufacturing, logistics, healthcare and tourism.

Vidullanka PLC commissioned a 2 MW AC (2.5 MW DC) solar plant in Horana that can export about 3.6 GWh annually to the national grid. The plant, built by subsidiary Vidul Solar Power Ltd, is the second phase of the Horana project and brings Vidullanka's portfolio to 23 operational plants totalling 63 MW.

Commercial Bank of Ceylon held a harvest ceremony in Vavunathivu under its Agri Modernisation Village programme, donating a solar-powered water pump with micro-irrigation and reinstating a greenhouse fertigation system for the Eastern University to support farmer modernization.

LAUGFS Holdings celebrates its 30th anniversary, noting its transformation from Gas Auto Lanka into a diversified conglomerate with operations in more than 20 companies across power & energy, retail, manufacturing, logistics, healthcare, property and international markets.

Brown & Company PLC's Browns EV unit launched three affordable EV models in Sri Lanka with partners SAIC‑GM‑Wuling and Beijing Auto Works, including the BAW‑E7 priced at Rs.4.7 million. LOLC Holdings, LOLC Finance and Browns will provide financing, insurance, warranties and a planned nationwide charging network.

Colombo bourse rose 252.16 points (1.25%) as ASPI closed at 20,471 with turnover Rs.7.74bn; banking sector led turnover (28%) and top contributors included COMB, CARS, MELS, JKH and DFCC, while some stocks (e.g. PKME) fell.

Vidullanka commissioned its 2MW Horana solar power project (phase II), expected to generate 3.6 GWh of clean energy and supply it to the national grid. The project was implemented through Vidul Solar Power (Pvt) Limited, a fully owned subsidiary.

DFCC Bank (DFCC.N0000) marked its 70th anniversary and reaffirmed support for MSMEs, securing USD 12 million from Symbiotics to promote renewable energy adoption among SMEs. The bank highlighted initiatives like DFCC Vyapara Hamuwa and Krushibala and partnerships with USAID and DFC to expand inclusive finance.

Trade Promoters Ltd. was appointed exclusive distributor for Tonino Lamborghini electric golf carts in the Maldives, with Electrify Maldives to manage sales, marketing and after-sales for luxury resorts. TPL says Electrify Maldives currently services over 120 of the 187 operational Maldives resorts.

Ceylon Electricity Board has floated an RFI to install synchronous condensers totaling about 145 MVA to absorb more renewable energy and support grid stability. The CEB earlier sought info for a 75 MVA unit, plans consultancy for condensers and is tendering a 160MW/640MWh battery system.

State-run Ceylon Electricity Board posted a Rs5.31bn profit in the June 2025 quarter but a Rs13.1bn loss for the six months to June. Revenues fell 33% YoY to Rs98bn amid tariff cuts (partly reversed); a 15% tariff hike from June 12 will fully take effect from the September quarter and short-term borrowings eased to Rs218bn.

President Anura Kumara Disanayake ordered a one-month suspension of two Mannar wind power projects to study environmental and community impacts. One project is 20 MW under construction and the other 50 MW has had tenders/contracts awarded; construction will not proceed without Central Environmental Authority approval.

Sri Lanka plans to call international tenders for 484 MW wind projects at Mannar and Pooneryn after Adani Green withdrew, seeking tariffs below 6 US cents versus the prior 8.26c; the projects (about $442m planned investment) will be awarded to the lowest successful bidder.

Aitken Spence PLC recorded EBITDA of Rs. 4.1 billion for Q1 ended 30 June 2025, up 7% YoY. Group PBT rose 74% to Rs. 1.0 billion and PAT climbed 339.6% to Rs. 405.37 million, led by maritime & freight logistics and tourism while Western Power boosted strategic investments.

Aitken Spence PLC reported Q1 EBITDA of Rs. 4.1 billion (up 7% YoY), PBT of Rs. 1.0 billion (up 74%) and PAT of Rs. 405.37 million (up 339.6%). Maritime & Freight Logistics and Tourism led results, while Western Power boosted strategic investments.

Colombo market closed flat as the ASPI fell 0.23% (47 pts) to 19,929 with turnover around Rs.7.1bn and foreign net selling of Rs.28.5m amid profit-taking. Transportation led turnover (20%) driven by Digital Mobility Solutions Lanka, while banking contributed strongly with activity in Sampath Bank and HNB.

Hayleys Energynet (part of Hayleys group) deployed Sri Lanka’s first 300 kVA Riello NextEnergy UPS, a transformer-free system offering up to 97% online efficiency. The project covered supply, installation, testing and commissioning to ensure uninterrupted high-volume FMCG production.

President Anura Kumara Dissanayake has suspended construction on two Mannar wind power plants — a 20 MW project under way and a proposed 50 MW plant — for one month pending resolution of local community environmental concerns and Central Environmental Authority assessments.

John Keells Holdings (property arm) marked structural completion of Phase 1 at VIMAN Ja-Ela, a six-acre residential development comprising 418 apartments. Phase 1 is slated for completion in 2027 and the project includes rooftop solar and common EV charging facilities.

Vietnam’s ROX Group met Sri Lanka’s president to seek land and institutional support to establish an industrial zone and to explore renewable energy and real estate investments. ROX highlighted its 14 industrial parks that attracted $3.5bn in FDI and its 300MW energy capacity.

Colombo Dockyard (DOCK.N0000) delivered the eighth 5,000 DWT Eco Bulk Carrier, 'Misje Lily', to Norway's Misje Eco Bulk AS. The DNV-classed 89.95m vessel includes an Energy Storage Battery System for hybrid propulsion and was designed in-house, highlighting the yard's eco-friendly shipbuilding capability.